Market Analysis Services

Guide to the preparation of market briefs

Description of Market Brief
Purpose
Target Audience
Layout

Main Headings

Product description
Statistical data
Market characteristics
Market access
Prices
Distribution channels
Commercial practices
Packaging and labelling
Sales Promotion
Market prospects
Importers
Other useful addresses
References

Email

mb@intracen.org
   
   

 

     

 


 

 

Statistical data

Statistical data are often purely indicative as trade classification systems are not sufficiently detailed to provide information on a very specific product item. For example, under the Harmonized System (HS), the product description for a relatively straightforward product such as sesame seeds includes whole, broken, crushed, husked or shelled sesame seeds (see Product description). The statistics, therefore, cover all five forms of the product and do not provide detailed information on each item traded. Particular attention should therefore be paid to the interpretation of statistical data provided in a market brief. Whenever statistical data are likely to be misinterpreted, they should be supplemented with a short commentary under the section "Market characteristics".

1. Production data

Detailed and up-to-date production statistics are not always available. In this case, it is better to omit this section rather than present data that refer to a general product group or are too old. On the other hand, it is important to indicate whether there is local production of the product and if this is increasing or decreasing. This is necessary in order to determine both the current and future role and share of imports in local consumption patterns. A list of the main local producers is also useful as exporters could explore the possibilities of entering a business arrangement with them (e.g. joint ventures).

Primary Products

For data on food production see the site of the Food and Agriculture Organization of the United Nations
For data on forest products, check the sites below:
FAO Forestry databases
UNECE Timber Committee
International Timber Trade Organization (ITTO)
Links to other timber sites

For data on mineral production, check the sites below:

Mineral Commodity Summaries. Published on an annual basis, this report is the earliest US Government publication to furnish estimates covering nonfuel mineral industry data. Data sheets contain information on the domestic industry structure, Government programs, tariffs, world production, reserves, and 5-year salient statistics for over 90 individual minerals and materials.

UN Monthly Bulletin of StatisticsProvides data on production of selected minerals by country.

Manufactured Products

The United Nations Industrial Development Organization UNIDOprovides industrial statistics at 3- and 4-digit level of the International Standard Industrial Classification (ISIC).

For monthly data on production of selected products see UN Monthly Bulletin of Statistics.

The Statistical Abstract of the United States provides historical data on different sectors of the US economy as well as a guide to Foreign Statistics Abstracts.

 

2. Foreign trade statistics

Imports: Information on the evolution of imports, supported by statistics (both in terms of value and quantity) covering the last three or five year period is an important indicator of recent import patterns and future trends. An exporter is unlikely to target a market where imports are declining but is likely to revise his/her marketing strategies and focus on those markets where demand is increasing. 

Exports: The presence of exports is generally an indication of strong local production. However, it should be kept in mind that figures shown under this heading may also include re-exports in the absence of any local production. For example, a cold-climate country indicating exports of an exclusively tropical product is generally a clear indication of re-exports. Therefore, drawing conclusions based on statistical data alone may be misleading. 
 

Examples: 

World Imports of Sesame Seeds
(Value: US$ Million; Quantity: 1000 Metric Tons) 
 

Markets

1993

1994

1995

1996

1997

V

Q

V

Q

V

Q

V

Q

V

Q

Total Imports (World) 278 398 370 445 510 465 587 551 462 424
Of which :                    
JAPAN 72 118 94 141 131 140 147 145 122 152
EUROPEAN UNION 41 45 56 52 81 63 98 78 73 78
REPUBLIC OF KOREA 29 53 61 72 44 42 67 68 52 65
U.S.A. 38 37 47 41 54 39 71 47 48 43
EGYPT     7 11 40 35 45 39 45 46
 Source: COMTRADE database, United Nations Statistics Division (UNSD) 
 
 

World Exports of Sesame Seeds
(Value:US$ Million; Quantity: 1000 Metric Tons) 

 

Markets

1993

1994

1995

1996

1997

V

Q

V

Q

V

Q

V

Q

V

Q

Total Exports (World) 278 398 370 445 510 465 587 551 462 524
Of which:                    
INDIA 20 33 24 30 58 58 89 88 91 110
SUDAN 28 53 53 68 59 59 88 87 67 87
GUATEMALA 30 30 39 33 59 42 58 36 54 53
CHINA 79 132 88 109 122 114 131 124 42 39
MYANMAR 21 45 37 77 38 54 27 39 31 55
Source: COMTRADE database, United Nations Statistics Division (UNSD) 
* Data concerning Guatemala should be read with caution as import + production figures do not match with total world imports from Guatemala. 

The major importing countries are Japan, the European Union, the Republic of Korea, the United States, and Egypt. The origin of imports in these markets vary substantially. Japan imports sesame seeds mainly from China; the United States from Central America; the European Union from India and the Sudan; the Republic of Korea from the Sudan and China (see annex I for detailed statistics). The producing countries are large consumers of sesame seeds, mainly processed as cooking oil, and only part of their production is exported. In 1997 India exported 18.3% of its total production, the Sudan 25.6%, Myanmar 15.9% and China 7.3%. 
 


The International Trade Centre provides four helpful tools for the collection  and interpretation of trade statistics: 

The following sites are also of particular interest: 

In addition, the following printed sources are excellent reference material. 
Detailed commodity statistics: 

  • UNSD - United Nations Statistical Department, Commodity Trade Statistics
  • UNSD International Trade Statistics

Aggregated trade statistics: 

Regional trade statistics: 

  • EUROSTAT, External and Intra-European Trade-monthly statistics

  • The home page of the Free Trade Area of the Americas ,provides export and import data of most of the FTAA members

  • Indian Ocean Commission, Bulletin statistique, Le commerce exterieur des Etats membres de la Commission de l'Ocean Indien; Tel: +230 4251652, Fax: +230 4251209  (PO Box 7, Quatre Bornes, Mauritius) 
  • OECD - Organization for Economic Cooperation and Development, Series A: Monthly Statistics of Foreign Trade
  • OECD, Series C: Foreign Trade by Commodities. For CD-ROM see International Trade by Commodities Statistics
  • OECS - Organization of Eastern Caribbean States, Digest of Trade Statistics
  • OAS - Organization of American States, Statistical Bulletin of the OAS
  • ESCAP - United Nations Economic and Social Commission for Asia and the Pacific, Foreign Trade Statistics of Asia and the Pacific
  • ASEAN - Association of SouthEast Asian Nations, internet: Statistical data
  • ADB - African Development Bank, Selected Statistics on African Countries. 
  • COMESA - Common Market for Eastern and Southern Africa (COMESA) - ESTIMEX TRADE STATISTICS 

Product specific trade statistics: 

  • WorldBank, Global Commodity Markets; Commodity Markets and the Developing Countries; 
  • FAO - Food and Agricultural Organization of the United Nations, FAO Yearbook, Trade
  • ISO - International Sugar Organization, Statistical Bulletin
  • UNECE - United Nations Economic Commission for Europe, Annual Bulletin of Trade in Chemical Products
  • UNECE - Statistics of World Trade in Steel
  • UNCTAD, Commodity Yearbook 1995; Handbook of world Mineral Trade Statistics 1990 - 1995; International Tin Statistics; Iron Ore Statistics 1988-1995. 
3. Apparent consumption

Only the use of the same or compatible trade classification systems for production and trade statistics allows the calculation of apparent consumption: 

(Production + Imports) - Exports = Apparent Consumption

The result is simply an indicator of the size of a market and should not in itself be the basis for formulating a marketing strategy or for decision-making. The import potential of a developing market, for example, is determined more on the basis of market access conditions (tariffs and other trade control measures) than on the volume of imports.

4. Main origins of imports

This section identifies the principal supplier countries of a product in a given import market. It provides the exporter with information on his/her competitors both at the international and regional levels. It is, therefore, extremely useful to list the main origins of imports as well as the respective shares of the major supplier countries in terms of volume or value, depending on the product. For data resources, see Foreign Trade Statistics
 


Sources of information:

Selected Commercial Databases for Trade Promotion
References for International Statistics
United Nations Statistical Division
Statistical Agencies in the UN/ECE Region

Data Service Inform

 

International Trade Centre, Palais des Nations, CH-1211 Geneva 10, Switzerland

Tel.: +4122 730 01 11  Fax: +4122 733 44 39

E-mail: mas@intracen.org